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The biggest question hanging over Advanced Micro Devices Inc. AMD at its flagship AI showcase this week, Advancing AI 2026, isn’t whether the company will unveil new artificial‑intelligence chips.
Investors already expect that.
The real debate is whether AMD can convince Wall Street that it deserves a larger share of the rapidly expanding AI‑infrastructure boom alongside Nvidia Corp. NVDA.
Wall Street’s conviction has strengthened rapidly ahead of the AMD event on Thursday.
Over the past three weeks, six major firms raised their price targets for AMD’s stock, while maintaining bullish ratings. Even after the stock’s powerful rally this year – up nearly 130% year-to-date – the new targets still imply between 19% and 40% upside from Monday morning’s price of $517.
Bank of America Sees a Much Bigger AI Opportunity for AMD
Among the most detailed previews came from Bank of America analyst Vivek Arya.
Rather than focusing only on AI accelerators, Arya believes AMD could use Wednesday’s presentation to expand its long-term narrative from the more than $1 trillion AI opportunity discussed last December to a $1.5 trillion-plus AI infrastructure market by 2030, spanning GPUs, CPUs, networking, memory and rack-scale systems.
“We would not be surprised to see management frame a path toward a $1.5T+ CY30E AI infrastructure TAM,” Arya said.
That would move AMD beyond the traditional debate of market share versus Nvidia and toward becoming a broader AI infrastructure supplier.
The Shift From AI Chips to AI Systems
Arya believes the MI450 generation represents a strategic transition.
“Helios/MI455X brings 72-GPU rack-scale, shifting focus from chips to full systems,” he said.
Instead of selling standalone accelerators, AMD is increasingly competing in integrated AI racks—a strategy Nvidia has successfully used to deepen relationships with hyperscale customers.
Arya argues investors should pay less attention to potential customer announcements and more to demand trends.
“We believe the more important message may be demand rather than customer logos.”
Bank of America sees AMD’s data-center business growing more than 100% year over year in calendar 2027 as Instinct accelerators ramp alongside EPYC server processors.
Why CPUs Could Become the Surprise AI Winner
Perhaps the most overlooked part of Arya’s thesis involves CPUs.
“As AI shifts toward retrieval, planning, scheduling and multi-agent workflows, CPU content per rack could rise materially,” he added.
If AI workloads increasingly require orchestration rather than pure GPU compute, AMD could benefit twice—through both Instinct accelerators and EPYC server processors.
That is why Thursday’s event may ultimately be remembered less for unveiling another AI chip and more for convincing investors that AMD’s AI opportunity extends well beyond one product.
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This article AMD’s Big AI Moment Is Here: 6 Wall Street Analysts Just Placed Their Bets originally appeared on Benzinga.com.
